Do you see de-dollarization as a real possibility? And are there any consequences if it happens?

Seems to me that more and more countries are looking into managing risk of being sanctioned and forced into picking sides in major global conflicts.

But on the other hand, not like there’s any real alternative to the US dollar. Chinese yuan is not freely convertible, and other economies are too small to be reliable on providing safe currency 🤔

If it does happen though and dollar loses a big chunk of share in foreign reserves and usage in trade, are there any consequences to it? Does it mean more expensive borrowing for the US? Don’t really know how these things work.

De-Dollarization: More Countries Seek Alternatives to the U.S. Dollar

Do you see de-dollarization as a real possibility? And are there any consequences if it happens?  Seems to me that more and more countries are looking into managing risk of being sanctioned and forced into picking sides in major global conflicts.  But on the other hand, not like there’s any real alternative to the US dollar. Chinese yuan is not freely convertible, and other economies are too small to be reliable on providing safe currency 🤔  If it does happen though and dollar loses a big chunk of share in foreign reserves and usage in trade, are there any consequences to it? Does it mean more expensive borrowing for the US? Don’t really know how these things work. De-Dollarization: More Countries Seek Alternatives to the U.S. Dollar De-Dollarization: More Countries Seek Alternatives to the U.S. Dollar  The U.S. dollar has dominated global trade and capital flows over many decades.  However, many nations are looking for alternativ https://elements.visualcapitalist.com/de-dollarization-more-countries-seek-alternatives-to-the-u-s-dollar/

Jozhe

Hilarious.  Short term pain for even greater long term pain

 #DANK MEMES

DANK MEMES

Hilarious.  Short term pain for even greater long term pain   #DANK MEMES

Nate

Check out this neat “Dollar Dominance Monitor”

The Atlantic Council's GeoEconomics Center has launched this monitor that "presents indicators for tracking China's progress in creating an alternative financial infrastructure."

https://www.atlanticcouncil.org/programs/geoeconomics-center/dollar-dominance-monitor/?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter_axioschina&stream=china

Check out this neat “Dollar Dominance Monitor”  The Atlantic Council's GeoEconomics Center has launched this monitor that "presents indicators for tracking China's progress in creating an alternative financial infrastructure."  https://www.atlanticcouncil.org/programs/geoeconomics-center/dollar-dominance-monitor/?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter_axioschina&stream=china

The Dollar Dominance Monitor analyzes the strength of the dollar relative to other major currencies across the world. The project presents interactive indicators to track China's progress in developin

Dollar Dominance Monitor

Jerome Cody

Argentina’s newly elected president thinks dollarization will help his inflation-plagued economy

Fiscal shock therapy...? 

Argentinas inflation rates are soaring over 140% and prices almost doubled last year. The peso’s losing value fast, and after decades of runaway inflation, Argentines have lost hope in their leaders’ ability to stabilize the economy. 

Will Milei’s plan to call in Congress to review an XL package of fiscal reforms work?

https://www.wsj.com/world/americas/argentinas-new-president-wants-to-adopt-the-u-s-dollar-as-national-currency-86da3444

#The Most Important Thing

The Most Important Thing

Argentina’s newly elected president thinks dollarization will help his inflation-plagued economy  Fiscal shock therapy...?   Argentinas inflation rates are soaring over 140% and prices almost doubled last year. The peso’s losing value fast, and after decades of runaway inflation, Argentines have lost hope in their leaders’ ability to stabilize the economy.   Will Milei’s plan to call in Congress to review an XL package of fiscal reforms work?  https://www.wsj.com/world/americas/argentinas-new-president-wants-to-adopt-the-u-s-dollar-as-national-currency-86da3444  #The Most Important Thing

But Latin America’s third-largest economy is broke and lacks funds to swap the nearly worthless peso for the greenback

Argentina’s New President Wants to Adopt the U.S. Dollar as the National Currency

Sam Mendoza

History made today with six countries joining BRICS - Argentina, Egypt, Ethiopia, Iran, Saudi Arabia and UAE. 

https://www.aljazeera.com/economy/2023/8/24/saudi-arabia-iran-to-join-brics-as-grouping-admits-six-new-members https://www.aljazeera.com/economy/2023/8/24/saudi-arabia-iran-to-join-brics-as-grouping-admits-six-new-members

History made today with six countries joining BRICS - Argentina, Egypt, Ethiopia, Iran, Saudi Arabia and UAE.   https://www.aljazeera.com/economy/2023/8/24/saudi-arabia-iran-to-join-brics-as-grouping-admits-six-new-members https://www.aljazeera.com/economy/2023/8/24/saudi-arabia-iran-to-join-brics-as-grouping-admits-six-new-members

Talks of expansion have dominated the three-day annual summit of major emerging economies in Johannesburg.

Saudi Arabia, Iran to join BRICS as group admits six new members

A short CHINESE media article to ponder over. 

A millennium has passed and is the world (going forward) going to change again? Will China lead the transition for the next decade? Century? Millennium? Epoch? Is Central Bank Digital Currency the likely next global reserve currency?

What say you?  https://enapp.chinadaily.com.cn/a/202304/24/AP6445c0aca3108417d547c1ba.html

A short CHINESE media article to ponder over.   A millennium has passed and is the world (going forward) going to change again? Will China lead the transition for the next decade? Century? Millennium? Epoch? Is Central Bank Digital Currency the likely next global reserve currency?  What say you?  https://enapp.chinadaily.com.cn/a/202304/24/AP6445c0aca3108417d547c1ba.html

In 1023, a thousand years ago, the Song Dynasty (960-1279) changed the history of money by introducing paper money, jiaozi, as legal tender and a means of exchange.

Jozhe

A group of likeminded people in The Most Important Thing are talking about this.